Fed 'Eerily Quiet' on Rising Yields, JPMorgan's Dryden Says

The video discusses the role of central banks and indirect bidders in auctions, highlighting the potential return of central banks to support markets. It examines market reactions to rising yields and inflation, noting that markets are beginning to price in the withdrawal of monetary policy stimulus. The discussion also covers real yields, inflation pressures, and the impact of wage pressure and economic indicators on inflation, particularly focusing on recent data from January.

What is the current stance of central banks regarding rising yields?

• They are reducing interest rates to counteract inflation.

• They are planning to increase monetary stimulus.

• They are comfortable with the market pricing in inflation.

• They are actively intervening to lower yields.

How can different benchmarks affect the perception of real yields?

• They always show a positive yield.

• They have no impact on yield perception.

• They can result in either positive or negative yields.

• They can make yields appear more stable.

What recent data has raised questions about inflation trends?

• A decline in manufacturing output.

• An increase in wage pressures and CPI numbers.

• A significant drop in housing prices.

• A decrease in consumer spending.

Why is it too early to determine the impact of recent wage data?

• The data shows a clear long-term trend.

• The data is not yet available.

• The data is irrelevant to inflation.

• The data might be a temporary blip.

What is the main concern regarding the recent CPI numbers?

• They indicate a deflationary trend.

• They might be influenced by temporary factors.

• They show a decrease in consumer prices.

• They suggest a stable economic environment.